A first meeting of the creditors of the Company will be held atGrant Thornton Australia Limited, Level 17, 383 Kent Street, inSydney, on Jan. 28, 2015, at 11:00 a.m.

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KAISA GROUP: Authorities Freeze 700+-Unit Apartment Project-----------------------------------------------------------Esther Fung at The Wall Street Journal reports that Chinesehousing-market uncertainties that contributed to a closely watchedbond default appear to be spreading, as authorities in one cityfroze transactions related to multiple developers' properties anda second moved to freeze a troubled company's apartments.

It wasn't clear whether the moves were related, and authorities inone city cautioned the public against reading too much into themoves. But the lack of details has spooked investors and added toworries over a property market more broadly hit by a sales slumpand slowing economic growth, the Journal says.

In the eastern city of Hangzhou, authorities froze nearly all ofthe apartments in a 749-unit project called Xixi Puyuan built byKaisa Group Holdings, the Journal relates citing local propertyportal Touming Soufang.

The reason for the move wasn't clear, and it also wasn't clearwhether other companies were affected, the Journal notes.

A Kaisa spokesman declined to comment, and Hangzhou authoritiesdidn't respond to requests for comment, the report notes. InChina, local authorities have broad authority to block propertiesfrom being sold or transferred for a variety of reasons.

According to the Journal, the move came after Kaisa missed$23 million in interest payments due last week on its offshorebonds and defaulted, putting a focus on the company and the rightsof investors to recoup losses.

The default also led to more than 20 Chinese companies to ask acourt in Kasia's hometown, the city of Shenzhen, to freeze thecompany's assets, the report states. Its projects in Shenzhen wereblocked by the government late last year, and some seniorexecutives have left the company.

The Journal notes that financial services firm Shanghai AJ Corp.'strust unit said it has applied to a court in Shanghai to freezethe deposits and other assets of Kaisa's Hangzhou unit. "We're nowwaiting for the court to process our petition," the Journal quotesa spokeswoman from the financial firm, who declined to givefurther details, as saying. The basis of the company's claimagainst Kaisa wasn't clear.

About Kaisa Group

China-based Kaisa Group Holdings Ltd. (HKG:1638) --http://www.kaisagroup.com/english/-- is an investment holding company, and its subsidiaries are engaged in property development,property investment and property management.

As reported in the Troubled Company Reporter-Asia Pacific onJan. 7, 2015, Standard & Poor's Ratings Services said that it hadlowered its long-term corporate credit rating on China-based realestate developer Kaisa Group Holdings Ltd. to 'SD' from 'BB-'. Atthe same time, S&P lowered its long-term Greater China regionalscale rating on Kaisa to 'SD' from 'cnBB+'. S&P also lowered itsissue rating on the company's senior unsecured notes to 'CC' from'BB-' and the Greater China regional scale rating to 'cnCC' from'cnBB+'. S&P removed all the ratings from CreditWatch, where theywere placed with negative implications on Dec. 23, 2014.

"We downgraded Kaisa because the company has defaulted on aHong Kong dollar (HK$) 400 million offshore term loan," saidStandard & Poor's credit analyst Dennis Lee. "This is an event ofdefault and could cause an acceleration of debt repayment on allits other debt. Kaisa's other debt instruments have cross-defaultclauses."

The missed repayment on the loan puts Kaisa in "selective default"as the company has not yet defaulted on its other debtobligations. The company failed to repay its HK$400 millionoffshore loan from HSBC on Dec. 31, 2014, when the resignation ofKaisa's chairman, Mr. Kwok Ying Shing, triggered a mandatoryrepayment.

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NORD ANGLIA: First Quarter Results No Impact on Moody's B1 Rating-----------------------------------------------------------------Moody's Investors Service says that Nord Anglia Education, Inc's(NAE, B1 stable) results for the fiscal first quarter ended 30November 2014 were in line with expectations and do not affect thecompany's B1 ratings or stable outlook.

"NAE continues to execute as expected. Moody's believe that thestrengths of the company's business model and geographicallydiverse operations largely mitigate the effects of an appreciatingUS dollar, slowing Chinese economy, and declining oil prices ondemand for the company's services," says Joe Morrison, a Moody'sVice President and Senior Analyst.

NAE reported sales for the first quarter of fiscal 2015 of $154million, up 14% year over year. Excluding the currency effects ofa rising US dollar, which particularly impacted European results,sales would have been up 17%. The company continues to achievetuition fee increases at rates higher than its cost inflation.

On a latest 12 months (LTM) basis, NAE's adjusted EBITDA marginwas about 36%, on par with the result for FY2014. Adjusted debt toEBITDA and EBITDA less capex to interest expense for the yearMoody'sre about 6.0x and 1.5x, respectively, in line with Moody'sexpectations.

"We continue to expect these ratios to improve further in 2015 andsupport the current ratings," adds Morrison, who is also the LeadAnalyst for NAE.

Moody's expects improvement will be mainly driven by increases inearnings, underpinned by organic enrollment growth, priceincreases, contributions from NAE's new schools in Cambodia andSingapore, and by the lower funding costs associated with theinitial public offering and debt refinancing concluded in 2014.

NAE benefits from stable and predictable demand for its premiumeducational services product. The company has a high level offinancial leverage, but this is balanced by favorable demanddynamics, resilience through economic cycles, and predictablerevenue streams.

The principal methodology used in this rating was Business andConsumer Service Industry published in December 2014.

Nord Anglia Education, Inc. is headquartered in Hong Kong andoperates 31 international premium schools in Asia, Europe, theMiddle East, and North America, with more than 20,200 studentsranging in level from pre-school through to secondary school. Forthe fiscal year ended 31 August 2014, NAE generated revenues of$475 million.

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AMBAL MODERN: CRISIL Assigns B+ Rating to INR100MM Cash Credit--------------------------------------------------------------CRISIL has revoked the suspension of its rating on the bankfacilities of Ambal Modern Rice Mill (AMRM), and has assigned its'CRISIL B+/Stable' rating to the long term facility. CRISIL had,on December 6, 2014, suspended the rating as AMRM had not providednecessary information required to maintain a valid rating. AMRMhas now shared the requisite information, enabling CRISIL toassign a rating to the bank facility.

CRISIL believes that AMRM will continue to benefit over the mediumterm from its promoter's extensive industry experience. Theoutlook may be revised to 'Positive' if the firm improves itsscale of operations and capital structure, leading to animprovement in its financial risk profile. Conversely, the outlookmay be revised to 'Negative' if AMRM undertakes aggressive debt-funded expansions, or if its revenues and profitability declinesubstantially, or if the promoter withdraws capital from the firm,leading to weakening in its financial risk profile.

Set up in 1999 as a proprietorship firm, AMRM mills and processespaddy into rice, rice bran, broken rice, and husk. The firm ispromoted by Mrs. M Wahida.

AMRM reported a profit after tax (PAT) of INR0.9 million on netsales of INR497 million for 2013-14 (refers to financial year,April 1 to March 31), against a PAT of INR0.8 million on net salesof INR349 million for 2012-13.

The reaffirmation of the rating takes into account the limitedoperational track record of the firm in the electroforged gratingmanufacturing business, with 2013-14 being its second year ofoperation, the firm's small scale of current operations due to itslow capacity utilization level at present, and its vulnerabilityto the volatile prices of steel which is the key raw material forthe firm.

The ratings also factor in the firm's adverse capital structure,depressed coverage indicators, and high working capital intensityof operations leading to stretched liquidity position, asreflected by the high utilization of working capital limit. Also,the firm's low level of current cash accruals at present maynegatively impact its debt servicing capability. However, theratings favourably factor in the firm's enlistment as vendor witha number of public sector undertakings (PSU) and other renownedmanufacturing companies primarily in the power and steel sectorsand its proximity to raw material sources, which reduces freightcosts.

Established in 2011-12 by Mr. Shyam Agarwal, AEG is engaged in themanufacturing of industrial electroforged grating. The firm'smanufacturing facility in located at Raipur, Chhattisgarh with anannual capacity of 12,000 tons. The firm commenced its operationsin May, 2012.

Recent ResultsAEG reported a net profit of INR0.69 crore on an operating incomeof INR16.86 crore during 2013-14 as compared to a net profit ofINR0.22 crore on an operating income of INR7.06 crore during its10 months of operations in 2012-13.

ASTRON PAPER: ICRA Assigns B+ Rating to INR22.5cr Cash Credit-------------------------------------------------------------The long term rating of [ICRA]B+ has been assigned to the INR38.66crore term loans and INR22.50 crore fund based cash creditfacilities of Astron Paper and Board Mill Limited. The short termrating of [ICRA]A4 has also been assigned to the INR18.28 croreshort term facilities of APBML. The rating of [ICRA]B+ has alsobeen assigned to the INR15.00 crore proposed long term fund basedlimits of APBML. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Fund Based-Cash Credit 22.50 [ICRA]B+ Assigned

Long Term Fund Based-Term Loan 38.66 [ICRA]B+ Assigned

Short Term Non Fund Based 18.28 [ICRA]A4 Assigned

Short Term Non- Fund Based Interchangeable (6.00) [ICRA]A4 Assigned

Long Term Fund Based-Proposed Limits 15.00 [ICRA]B+ Assigned

The assigned ratings are constrained by the exposure of thecompany's contribution levels and thus the profitability tovolatility in waste paper costs which constitute around 65-70%ofinput costs as well as the high working capital intensity onaccount of the long credit period extended to customers and thepolicy of holding high inventory of raw materials. The ratingsalso consider the highly fragmented and competitive industrystructure due to presence of a large number of paper manufacturingunits in western India. The rating also takes into account thecompany's high gearing currently; further, capital structure isexpected to remain leveraged on account of the high debt levelsdue to planned debt funded capex and the increasing workingcapital requirements. ICRA also notes company's past history ofdelays in servicing of debt repayment obligations.

The assigned ratings however favorably factor in the long standingexperience of the promoters in the paper trading and corrugatedboxes manufacturing industry and their established businessrelations with customers and suppliers. The ratings alsofavourably factor in the steady improvement in realization levelssupported by healthy demand from end-user industries. ICRA alsonotes the healthy growth in contribution margins of the companyduring FY 2014 and current year demonstrating the company'sability to successfully pass on variations in waste paper costs toa large extent and access to low cost power given the adequatecapacity and healthy operations of the captive power plant.

Astron Paper and Board Mill Limited (APBML) was incorporated as aprivate limited company in December 2010 for manufacturing ofkraft paper used in packaging industries for textiles, whitegoods, pharmaceutical and chemicals. The manufacturing plantlocated in Halvad, Gujarat with an installed production capacityof 200 TPD (72000 MTPA), became operational in October 2012. Thecompany is managed by Mr. Kirit Patel and Mr. Ramakant Patel whohave long standing experience of more than a decade in the tradingand manufacturing of kraft paper and corrugated boxes.The company's operations are supported by associate concerns AsianGranito India Limited (AGIL) rated [ICRA}A-(Stable)/A2+, MitulTradelink Private Limited (MTPL) and Vyankatesh Corrugator PrivateLimited which together also have more than 50% ownership in thecompany.

Recent ResultsDuring FY 2014, the company reported an operating income ofINR105.84 crore and net loss of Rs.2.88 crore as against operatingincome of INR26.59 crore and net loss of INR4.03 crore in 6M FY2013. Further, during 6M FY 2015 the company reported an operatingincome of INR79.78 crore and profit before tax of INR3.33.

EMERALD ALCHYMICUS: ICRA Reaffirms B- Rating on INR7.5cr Loan-------------------------------------------------------------ICRA has re-affirmed long-term rating of [ICRA]B- to the fund-based limits aggregating to INR7.50 crore of Emerald AlchymicusPrivate Limited. The short term rating assigned to the non-fundbased limits, aggregating to INR5.75 crore has been reaffirmed at[ICRA]A4.

The reaffirmation of ratings takes into account EAPL's tightliquidity position owing to high working capital intensity ofoperations leading to regular instances of overutilization in thesanctioned working capital facilities. The ratings also factor incompany's modest scale of operations, intense competitive businessenvironment and weak financial risk profile characterized by hightotal outside liabilities to tangible networth, weak debt-coverageindicators and low profitability margins. ICRA further notes thatwith increased focus on the Stock & Sell business segment,vulnerability of profitability margins to any adverse fluctuationsin the prices of imported chemicals remains high. The ability ofthe company to effectively manage the working capital cycle so asto ensure timely debt-servicing remains crucial from a creditperspective. The ratings however favourably take into account thelongstanding experience of the promoters in the chemical tradingbusiness, established relationships with its suppliers, widecustomer base, and its diversified product portfolio thatmitigates demand risks associated with any single product.

Incorporated in 2003, Emerald Alchymicus P Limited (EAPL) isinvolved in trading of chemicals. The company derives its revenuefrom two segments viz. Stock & Sell and Commercial segment. Incase of Stock & Sell, the company imports specialty chemicals fromvarious overseas suppliers and maintains an inventory of the samewhereas in the case of Commercial segment, the customers placebulk orders with EAPL for various chemicals and based on theseorders, EAPL procures the materials from the suppliers andsupplies directly to the customers.

Recent ResultsIn FY 2013, EAPL reported a profit after tax (PAT) of INR0.67crore on an operating income of INR64.3 crore. In FY 2014, thecompany has reported PAT of INR0.83 crore on an operating incomeof INR70.9 crore.

GLOBAL WOOD: CRISIL Assigns 'B+' Rating to INR30MM Cash Credit--------------------------------------------------------------CRISIL has revoked the suspension of its rating on the bankfacilities of Global Wood India Private Limited (GWIPL) and hasassigned its 'CRISIL B+/Stable/CRISIL A4' ratings to these bankfacilities. CRISIL had earlier, through its rating rationale datedJune 3, 2014, suspended the rating as GWIPL had not provided thenecessary information required for a rating review. The companyhas now shared the requisite information, enabling CRISIL toassign a rating to the company's bank facilities.

The ratings reflect GWIPL's small scale of operations in afragmented industry, leading to low profitability, and largeworking capital requirements. The ratings also factors in thecompany's weak financial risk profile marked by a high totaloutside liabilities to tangible net worth ratio and weak debtprotection metrics. These rating weaknesses are partially offsetby the extensive experience of GWIPL's promoters in the timbertrading business.

Outlook: Stable

CRISIL believes that GWIPL will continue to benefit over themedium term from its promoters' extensive industry experience. Theoutlook may be revised to 'Positive' if the company's capitalstructure improves, either by equity infusion, or higher-than-expected cash accruals driven by improvement in its scale ofoperations and profitability, along with improvement in itsworking capital management. Conversely, the outlook may be revisedto 'Negative' if GWIPL witnesses deterioration in its financialrisk profile on account of decline in its revenue andprofitability, or if it undertakes any larger-than expected, debt-funded capital expenditure programme, or if its liquidity weakenssignificantly on account of significant increase in its workingcapital requirements.

GWIPL is promoted by the Karnal (Haryana)-based Goyal family. Itis involved in the timber trading business. The company commencedoperations in April 2013, prior to which its promoters wereinvolved in the timber industry through Goyal Timber Store. GWIPLhas a sawing mill, with capacity of 20,000 meters per month, atGandhidham (Gujarat). Its sales office is in Delhi, and its headoffice is in Karnal.

For 2013-14 (refers to financial year, April 1 to March 31), GWIPLregistered a profit after tax of INR1.2 million on an operatingincome of INR36.06 million.

IMPEX FERRO: ICRA Assigns D Rating to INR123.24cr Term Loan-----------------------------------------------------------ICRA has assigned an [ICRA]D rating to INR23.64 crore term loans,INR123.24 crore working capital term loans, INR33.28 crore fundedinterest term loans, INR1.40 crore unallocated limits, INR98.44crore cash credit and INR10.00 crore bank guarantee limits ofImpex Ferro Tech Limited. The bank guarantee limits have also beenrated on the short term scale for which ICRA has assigned an[ICRA]D rating. The [ICRA]D rating has also been assigned toINR40.00 crore Letter of Credit facilities of the company.

The ratings reflect the current irregularities in IFTL's bankaccounts as indicated by continued over-utilizations in its cashcredit limits. ICRA notes that although the company has recentlycome under the purview of a corporate debt restructuring (CDR)programme, whereby the overutilized limits are proposed to beconverted to working capital term loans, individual banks are yetto sanction the same.

The ratings also take into account the adverse financial metricsof the company as reflected by its loss making nature ofoperations, highly aggressive capital structure, and stretchedliquidity position. Additionally, ICRA notes that IFTL's non-integrated nature of operations exposes the company's margins andcashflows to the variability in the ferro alloy and raw materialprices. The ratings also take note of the experience of thepromoters of the company in the steel and ferro alloys businessesand its favourable repayments in the near term, as per the CDRpackage, which is likely to improve the liquidity position of thecompany, going forward. Nevertheless, sizeable debt is required tobe serviced over the medium term.

IFTL, promoted by the SKP group based out of Kolkata, West Bengal,is enaged in manufacturing Ferro Alloys from its facility locatedat Asansol in West Bengal. The company started this business in1998 with two 3.6 and 5.0 MVA furnaces. Over the years the companyhas added additional ferro alloy manufacturing facilities,comprising of two 7.5 MVA furnaces and another 8.25 MVA furnace.In addition, the company has also commissioned a 30 MW coal basedpower plant. Apart from manufacturing ferro alloys, IFTL is alsoengaged in trading in iron and steel based products.

Recent resultsIFTL registed a loss of INR54.85 crore on an operating income ofINR699.30 in FY2014. During FY2013, the company had registered aPAT of INR3.96 crore on an operating income of INR641.76 crore.During April-September 2014, IFTL registered net loss of INR38.54crore on an operating income of INR293.39 crore.

INTOUCH TRADING: CRISIL Assigns D Rating to INR95MM Term Loan-------------------------------------------------------------CRISIL has assigned its 'CRISIL D' rating to the long-term bankfacilities of Intouch Trading Pvt Ltd (ITPL). The rating reflectsITPL's delay in servicing its term debt and interest obligations.The delays have been caused by the company's weak liquidity.

ITPL is exposed to the dynamics of the commercial real estateindustry and its revenue is linked to a single project. , Thecompany, however, benefits from its promoters' extensiveentrepreneurial experience.

ITPL incorporated in 2001, is a part of the City group which wasestablished by Mr. R R Modi and his associates. The company isdeveloping an information technology park in Noida (UttarPradesh).

The rating upgrade reflects CRISIL's belief that the KKR groupwill maintain its improved liquidity over the medium term, drivenby improvement in cash accruals and efficient working capitalmanagement. The group's cash accruals improved to INR80 million in2013-14 (refers to financial year, April 1 to March 31) from INR52million in 2012-13. Furthermore, the group has managed its workingcapital requirements efficiently, which has resulted in gradualreduction in its gross current assets to 112 days as on March 31,2014, from 163 days as on March 31, 2012. The KKR group isexpected to maintain its improved liquidity over the medium term,supported by healthy cash accruals and efficient working capitalmanagement.

The ratings reflect the KKR group's average financial risk profilemarked by high gearing, and the group's susceptibility to changesin government regulations and to volatility in raw materialprices. These rating weaknesses are partially offset by the KKRgroup's established brand and its promoter's extensive experiencein the rice-milling and food-products industry.

For arriving at the rating, CRISIL has combined the business andfinancial risk profiles of KKR Agro, SN Rice Mills, KKR Mills, KKRFlour Mills, KKR Food Products, Karthika Modern Rice Mill, and KKRProducts and Marketing Pvt Ltd. This is because all theseentities, together referred to as the KKR group, are under acommon management and have strong operational and financiallinkages.

Outlook: Stable

CRISIL believes that the KKR group will continue to benefit overthe medium term from its established position in the food-productsand rice-milling industry. The outlook may be revised to'Positive' if the group's financial risk profile, particularly itsgearing, improves, most likely because of sizeable cash accrualsand efficient working capital management. Conversely, the outlookmay be revised to 'Negative' if the group's liquidity weakensbecause of a decline in its revenue and profitability, or if itundertakes a sizeable debt-funded capital expenditure programme orhas large incremental working capital requirements.

Set up in 1976 by Mr. K K Karnan, the KKR group commencedoperations with a small rice-trading business in Okkal near Kochi.Over the years, the group has started milling and manufacturingvalue-added food products. The KKR group sells its products underthe Nirapara brand.

Set up in 2003, KKR Agro is engaged in the business of ricemilling.

K.K.R. FLOUR: CRISIL Ups Rating on INR90MM Overdraft Loan to B+---------------------------------------------------------------CRISIL has upgraded its rating on the long-term bank facilities ofK.K.R. Flour Mills (KFM, part of the KKR group) to 'CRISILB+/Stable' from 'CRISIL B/Stable'.

The rating upgrade reflects CRISIL's belief that the KKR groupwill maintain its improved liquidity over the medium term, drivenby improvement in cash accruals and efficient working capitalmanagement. The group's cash accruals improved to INR80 million in2013-14 (refers to financial year, April 1 to March 31) from INR52million in 2012-13. Furthermore, the group has managed its workingcapital requirements efficiently, which has resulted in gradualreduction in its gross current assets to 112 days as on March 31,2014, from 163 days as on March 31, 2012. The KKR group isexpected to maintain its improved liquidity over the medium term,supported by healthy cash accruals and efficient working capitalmanagement.

The ratings reflect the KKR group's average financial risk profilemarked by high gearing, and the group's susceptibility to changesin government regulations and to volatility in raw materialprices. These rating weaknesses are partially offset by the KKRgroup's established brand and its promoter's extensive experiencein the rice-milling and food-products industry.

For arriving at the rating, CRISIL has combined the business andfinancial risk profiles of KFM, SN Rice Mills, KKR Mills, KarthikaModern Rice Mill, KKR Food Products, KKR Agro Mills Pvt Ltd, andKKR Products and Marketing Pvt Ltd. This is because all theseentities, together referred to as the KKR group, are under acommon management and have strong operational and financiallinkages.

Outlook: Stable

CRISIL believes that the KKR group will continue to benefit overthe medium term from its established position in the food-productsand rice-milling industry. The outlook may be revised to'Positive' if the group's financial risk profile, particularly itsgearing, improves, most likely because of sizeable cash accrualsand efficient working capital management. Conversely, the outlookmay be revised to 'Negative' if the group's liquidity weakensbecause of a decline in its revenue and profitability, or if itundertakes a sizeable debt-funded capital expenditure programme orhas large incremental working capital requirements.

Set up in 1976 by Mr. K K Karnan, the KKR group commencedoperations with a small rice-trading business in Okkal near Kochi.Over the years, the group has started milling and manufacturingvalue-added food products. The KKR group sells its products underthe Nirapara brand.

Set up in 2000, KFM is engaged in the rice flour processingbusiness.

K.K.R. FOOD: CRISIL Ups Rating on INR115MM Overdraft Loan to B+---------------------------------------------------------------CRISIL has upgraded its rating on the long-term bank facilities ofK.K.R. Food Products (KFP; part of the KKR group) to 'CRISILB+/Stable' from 'CRISIL B/Stable'.

The rating upgrade reflects CRISIL's belief that the KKR groupwill maintain its improved liquidity over the medium term, drivenby improvement in cash accruals and efficient working capitalmanagement. The group's cash accruals improved to INR80 million in2013-14 (refers to financial year, April 1 to March 31) from INR52million in 2012-13. Furthermore, the group has managed its workingcapital requirements efficiently, which has resulted in gradualreduction in its gross current assets to 112 days as on March 31,2014, from 163 days as on March 31, 2012. The KKR group isexpected to maintain its improved liquidity over the medium term,supported by healthy cash accruals and efficient working capitalmanagement.

The ratings reflect the KKR group's average financial risk profilemarked by high gearing, and the group's susceptibility to changesin government regulations and to volatility in raw materialprices. These rating weaknesses are partially offset by the KKRgroup's established brand and its promoter's extensive experiencein the rice-milling and food-products industry.

For arriving at the rating, CRISIL has combined the business andfinancial risk profiles of KFP, SN Rice Mills, KKR Mills, KKRFlour Mills, Karthika Modern Rice Mill, KKR Agro Mills Pvt Ltd,and KKR Products and Marketing Pvt Ltd. This is because all theseentities, together referred to as the KKR group, are under acommon management and have strong operational and financiallinkages.

Outlook: Stable

CRISIL believes that the KKR group will continue to benefit overthe medium term from its established position in the food-productsand rice-milling industry. The outlook may be revised to'Positive' if the group's financial risk profile, particularly itsgearing, improves, most likely because of sizeable cash accrualsand efficient working capital management. Conversely, the outlookmay be revised to 'Negative' if the group's liquidity weakensbecause of a decline in its revenue and profitability, or if itundertakes a sizeable debt-funded capital expenditure programme orhas large incremental working capital requirements.

Set up in 1976 by Mr. K K Karnan, the KKR group commencedoperations with a small rice-trading business in Okkal near Kochi.Over the years, the group has started milling and manufacturingvalue-added food products. The KKR group sells its products underthe Nirapara brand.

The rating upgrade reflects CRISIL's belief that the KKR groupwill maintain its improved liquidity over the medium term, drivenby improvement in cash accruals and efficient working capitalmanagement. The group's cash accruals improved to INR80 million in2013-14 (refers to financial year, April 1 to March 31) from INR52million in 2012-13. Furthermore, the group has managed its workingcapital requirements efficiently, which has resulted in gradualreduction in its gross current assets to 112 days as on March 31,2014, from 163 days as on March 31, 2012. The KKR group isexpected to maintain its improved liquidity over the medium term,supported by healthy cash accruals and efficient working capitalmanagement.

The ratings reflect the KKR group's average financial risk profilemarked by high gearing, and the group's susceptibility to changesin government regulations and to volatility in raw materialprices. These rating weaknesses are partially offset by the KKRgroup's established brand and its promoter's extensive experiencein the rice-milling and food-products industry.

For arriving at the ratings, CRISIL has combined the business andfinancial risk profiles of KKR Mills, SN Rice Mills, KarthikaModern Rice Mill, KKR Flour Mills, KKR Food Products, KKR AgroMills Pvt Ltd , and KKR Products and Marketing Pvt Ltd. This isbecause all these entities, together referred to as the KKR group,are under a common management and have strong operational andfinancial linkages.

Outlook: Stable

CRISIL believes that the KKR group will continue to benefit overthe medium term from its established position in the food-productsand rice-milling industry. The outlook may be revised to'Positive' if the group's financial risk profile, particularly itsgearing, improves, most likely because of sizeable cash accrualsand efficient working capital management. Conversely, the outlookmay be revised to 'Negative' if the group's liquidity weakensbecause of a decline in its revenue and profitability, or if itundertakes a sizeable debt-funded capital expenditure programme orhas large incremental working capital requirements.

Set up in 1976 by Mr. K K Karnan, the KKR group commencedoperations with a small rice-trading business in Okkal near Kochi.Over the years, the group has started milling and manufacturingvalue-added food products. The KKR group sells its products underthe Nirapara brand.

Set up in 1993, KKR Mills is engaged in rice milling.

KALYAN COTTON: ICRA Assigns B Rating to INR3.95cr Cash Credit-------------------------------------------------------------The long-term rating of [ICRA]B has been assigned to the INR3.95crore cash credit facility and the INR2.00 crore term loanfacility of Kalyan Cotton Industries.

The assigned ratings are constrained by market risk associatedwith greenfield venture as well as uncertainty related to thelevel of product off-take and commercial success, possible stresson debt servicing ability in case ramp up of cash flows is lowerthan anticipated. The ratings are further constrained by highlycompetitive and fragmented industry structure owing to low entrybarriers which is expected to keep margins under pressure andvulnerability of the firm's profitability to the adversefluctuations in raw cotton prices, which are subject toseasonality, crop harvest and regulatory risks with regards to MSPfor raw cotton as well as restriction on cotton exports by GOI.ICRA also notes that KCI is a partnership concern and anysubstantial withdrawal from capital account in future couldadversely impact the credit profile of the firm.

The ratings, however, favourably take into account past experienceof the promoters in the cotton industry and the favorable locationof the firm's manufacturing facility in Rajkot giving easy accessto raw material.

Established in December 2013, Kalyan Cotton Industries (KCI) hasset up a green field project for cotton ginning and pressing withits facility located at Rajkot (Gujarat). The commercialoperations commenced from December 2014. The plant is equippedwith twenty four ginning machines, one pressing machine and 5expellers with total processing capacity of ~30,528 metric tonnesof raw cotton and seeds per annum.

The rating reflects KIPL's susceptibility to funding andimplementation risks for its ongoing project. These ratingweaknesses are partially offset by the extensive experience ofKIPL's promoter in agricultural commodity-based industry.

Outlook: Stable

CRISIL believes that KIPL will maintain a stable credit riskprofile on the back of its promoter's extensive experience in thespices industry. The outlook may be revised to 'Positive' in caseof timely execution of the project within stipulated cost or incase of higher-than-expected profitability, resulting in higher-than-expected accruals and thus, a better financial risk profile.Conversely, the outlook may be revised to 'Negative' in case ofany time or cost overrun, which would adversely impact thecompany's financial risk profile and thus, its debt-servicingability.

KIPL, promoted by Mohammad Amin, is setting up an automatic plantfor grinding, processing, and packaging of spices at EC LassiporaPulwana (J&K). The project is expected to be operational byFebruary 2015.

KARTHIKA MODERN: CRISIL Ups Rating on INR65MM Cash Loan to B+-------------------------------------------------------------CRISIL has upgraded its rating on the long-term bank facilities ofKarthika Modern Rice Mill (KMRM; part of the KKR group) to 'CRISILB+/Stable' from 'CRISIL B/Stable'.

The rating upgrade reflects CRISIL's belief that the KKR groupwill maintain its improved liquidity over the medium term, drivenby improvement in cash accruals and efficient working capitalmanagement. The group's cash accruals improved to INR80 million in2013-14 (refers to financial year, April 1 to March 31) from INR52million in 2012-13. Furthermore, the group has managed its workingcapital requirements efficiently, which has resulted in gradualreduction in its gross current assets to 112 days as on March 31,2014, from 163 days as on March 31, 2012. The KKR group isexpected to maintain its improved liquidity over the medium term,supported by healthy cash accruals and efficient working capitalmanagement.

The ratings reflect the KKR group's average financial risk profilemarked by high gearing, and the group's susceptibility to changesin government regulations and to volatility in raw materialprices. These rating weaknesses are partially offset by the KKRgroup's established brand and its promoter's extensive experiencein the rice-milling and food-products industry.

For arriving at the ratings, CRISIL has combined the business andfinancial risk profiles of KMRM, SN Rice Mills, KKR Flour Mills,KKR Food Products, KKR Agro Mills Pvt Ltd , and KKR Products andMarketing Pvt Ltd. This is because all these entities, togetherreferred to as the KKR group, are under a common management andhave strong operational and financial linkages.

Outlook: Stable

CRISIL believes that the KKR group will continue to benefit overthe medium term from its established position in the food-productsand rice-milling industry. The outlook may be revised to'Positive' if the group's financial risk profile, particularly itsgearing, improves, most likely because of sizeable cash accrualsand efficient working capital management. Conversely, the outlookmay be revised to 'Negative' if the group's liquidity weakensbecause of a decline in its revenue and profitability, or if itundertakes a sizeable debt-funded capital expenditure programme orhas large incremental working capital requirements.

Set up in 1976 by Mr. K K Karnan, the KKR group commencedoperations with a small rice-trading business in Okkal near Kochi.Over the years, the group has started milling and manufacturingvalue-added food products. The KKR group sells its products underthe Nirapara brand.

The assigned rating factors in KIPL's low scale of operations, itslow order book position resulting into limited revenue visibilityin near term and intense competition in the construction segmentthat constrains profitability. The rating is further constrainedby KIPL's exposure to client and geographical concentration risk,since most of the orders in hand have been awarded by AP Road &Building department and Panchayat Raj Dept, GoAP, and pertain tocivil works in the state of Andhra Pradesh. ICRA also notes thatthe relatively small size of the company coupled with limitedtrack record constrains its capacity to bid for larger projects.

The rating, however, favourably factors in significant experienceof promoters in civil construction industry, establishedrelationship with AP Road & Building department, GoAP andPanchayat Raj Dept, GoAP resulting into repeat orders, isolationof profitability to fluctuation in raw material prices due topresence of price escalation clause in contracts. ICRA drawscomfort from the increase in sales from ready mix concrete givingstability to revenue during FY14 as it contributes to 28.48% ofthe OI in FY14.

KBC Infrastructures Private Limited (KIPL) is a Guntur basedspecial class civil contractor involved in executing civil worksorders for road and bridge constructions. The company, started asa partnership firm, was converted into a private limited companyin 2007. The company also has a ready mix batching plant and astone crusher unit, operational from September 2012, atPerecherla, 10 kms away from Guntur, AP. The present capacity ofthe batching plant is 3500 cubic metre per month while that of thecrusher unit is 200 TPH (tonnes per hour). KIPL is being promotedby Mr Kanneganti Butchaiah who has an experience of more than 2decades in the civil construction industry.

Recent ResultsAs per audited results, the company reported a profit after tax ofINR0.24 crore on operating income of INR16.47 crore during 2013-14as against a profit before tax of INR0.84 crore on operatingincome of INR18.55 crore during 2012-13.

The suspension of ratings is on account of non-cooperation by KLPLwith CRISIL's efforts to undertake a review of the ratingsoutstanding. Despite repeated requests by CRISIL, KLPL is yet toprovide adequate information to enable CRISIL to assess KLPL'sability to service its debt. The suspension reflects CRISIL'sinability to maintain a valid rating in the absence of adequateinformation. CRISIL considers information availability risk as akey credit factor in its rating process and non-sharing ofinformation as a first signal of possible credit distress, asoutlined in its criteria 'Information Availability Risk in CreditRatings'

KLPL was promoted by the Bansal family in 2010 to undertakeprocessing of, and trading in, timber. It has a timber-processingplant at Gandhidham (Gujarat); its head office is at Karnal(Haryana).

MALWA AUTOMOTIVES: ICRA Assigns B+ Rating to INR13cr Cash Credit----------------------------------------------------------------ICRA has assigned its long term rating of [ICRA]B+ to the INR13crore cash credit limit and INR4 crore term loan of MalwaAutomotives Private Limited.

ICRA's rating factor in the company's weak financial profile asreflected by its moderate scale of operations, thin profit marginsand weak debt protection metrics. The rating also takes intoaccount the high competitive intensity of the automotivedealership industry, with the pressure to pass-on discounts to endcustomers that limits the company's profitability. However, ICRAfavourably factors in the rich experience of the promoters in autodealership business, strategic location of the showroom, andgrowing demand for luxury vehicles.

Going forward, MAPL's ability to increase its scale of operationsaccompanied by an improvement in profitability margins andeffective working capital management will be the key ratingsensitivities.

MAPL incorporated in 2012, is an authorized dealership of JaguarLand Rover. The company's 3S (sales, service and spares) showroomin Karnal, commenced operations from October, 2014.

Apart from MAPL, the group also has dealerships of Tata MotorsLimited, Hyundai Motor India Limited, Nissan Motor India PrivateLtd, Chevrolet (GM) and Honda Motorcycle and Scooter India PvtLimited in Karnal and Delhi.

The ratings are further constrained by the low operating marginson account of limited value addition and highly competitive andfragmented industry structure due to low entry barriers. Theratings further incorporate the susceptibility of the cottonprices to seasonality and regulatory risks which together with thehighly competitive industry environment exerts pressure on themargins. ICRA also notes that Manmohan Ginning Industries is apartnership firm and any significant withdrawals from the capitalaccount will affect its net worth and thereby the gearing levels.

The ratings, however, favorably factor in the long experience ofthe promoters in the cotton ginning and pressing industry,location advantage resulting in easy availability of raw cotton aswell as presence in the cotton seed crushing business whichprovides revenue diversification.

Manmohan Ginning Industries was incorporated in the year 1989 as apartnership firm and is engaged in ginning, pressing and crushingoperations. The business is owned and managed by Mr. NarendraLakhani along with other family members. The firm's manufacturingfacility is located in Rajkot, Gujarat. The firm is equipped with30 ginning machines, 16 expellers and 1 fully automatic pressingmachine.

Recent ResultsFor the year ended 31st March, 2014, the firm reported anoperating income of INR124.79 crore with profit after tax (PAT) ofINR0.66 crore.

The reaffirmation of ratings takes into account the de-growth inoperating income of the firm in FY13 and FY14 owing to the subdueddemand conditions as well as temporary shutdown of the firm'smanufacturing facility in FY14 due to revamp work undertaken forshift in product profile of the firm from ceramic floor tiles toceramic wall tiles coupled with the strike called by the ceramicindustry in Morbi to protest escalating gas prices. The ratingscontinue to remain constrained by the highly fragmented nature ofthe tiles industry which results in intense competitive pressures,the cyclical nature of the real estate industry which is the mainconsuming sector and exposure of profitability of the firm toincreasing prices of gas which is the major fuel. ICRA notes that,being a partnership firm, the quantum of withdrawals from thecapital account by the promoters of the firm, going forward, wouldimpact the net worth and thereby the gearing levels of the firm,and thus is a key rating sensitivity.

The ratings however continue to favourably factor in theexperience of the promoters in the ceramic industry and thelocational advantage of the firm for raw material procurement byvirtue of its presence in Morbi (Gujarat).

Matrix Ceramic is a partnership firm promoted by Mr. Jayesh Agharaalong with his family members and relatives. Incorporated in 2006,Matrix Ceramic commenced commercial production of ceramic floortiles of 12"x12" dimension in September 2007 with a productioncapacity of 6,500 boxes per day. Currently the product profile ofthe firm comprises of ceramic wall tiles of size 8"x12" andceramic floor tiles of 12"x12" with a production capacity tomanufacture 9,000 boxes of wall tiles or 8000 boxes of floor tilesper day. Its plant is located at Morbi in Rajkot district ofGujarat.

Recent ResultsFor the year ended March 31, 2014, Matrix Ceramic reported anoperating income of INR11.31 crore and net losses of INR0.10 croreas against an operating income of INR15.70 crore and profit aftertax of INR1.12 crore for the year ended March 31, 2013.

The rating revision reflects the stretched liquidity position ofthe firm as reflected by the delays in debt servicing due tocashflow mismatches between periods of expected rent inflows andscheduled debt repayments. Further the rating is constrained byNCS' weak financial profile characterized by losses at net levels,high gearing levels and stretched working capital indicators. Therating is also constrained given the small size and limited trackrecord of operations and exposure of profitability to anysignificant fall in potato prices. ICRA also notes that NCS is apartnership firm and any significant withdrawals from the capitalaccount could adversely impact its net worth and thereby thecapital structure.

The rating, however, favourably considers the experience ofpartners in potato trading and their association with other coldstorage firms; and the favourable location of the unit in Deesa(Gujarat), an area with high output of potato.

Incorporated in June 2012, Nilkanth Cold Storage (NCS) is engagedin providing cold storage facility to potato farmers and traderson a rental basis and commenced commercial operations fromFebruary 2013. The facility of the firm is located at Deesa,Gujarat having storage capacity of 168000 bags each weighing 50 Kg(around 8400 MT of potatoes). The firm is promoted by Sutharfamily who has long experience in potato farming and tradingbusiness.

The reaffirmation of the rating continues to take into account therelatively new and small scale of firm's operations as well asvulnerability of firm's profitability to adverse movements in rawmaterial prices which are subject to seasonality and crop harvest.The rating also takes into account the limited value additivenature of firm's operations; the highly competitive and fragmentedindustry structure given the low entry barriers as well as theexposure to regulatory risks with regard to MSP for raw cotton andcotton exports. ICRA also takes note of PBCOI's constitution as apartnership concern and the risks inherent in a partnership firmwith respect to capital withdrawals and its potential impact oncredit profile as well as on continuity of organization.

The rating, however, continues to favorably take into account thefirm's favorable location in Halvad, Gujarat- an area with easyavailability of raw cotton and the moderately diversified productprofile due to presence in the crushing operations.

P.B. Cotton and Oil Industries (PBCOI) was established as apartnership firm in 2012 and is engaged in cotton ginning andpressing and oilseeds crushing operations. The promoters of thefirm have past experience in cotton ginning and pressing industrythrough their earlier association with other firms as partners oras key operating personnel. The firm commenced oil crushingoperations from January 2013 and the cotton ginning and pressingoperations from October 2013. The firm is also involved in castortrading.

Recent ResultsFor the year ended March 31st, 2014, PBCOI reported an operatingincome of INR14.47 crore and a profit before tax of INR0.04 croreas against operating income of INR0.62 crore and profit before taxof INR0.04 crore in 3M FY2013.

P.K. INDUSTRIES: ICRA Assigns B Rating to INR4cr Long Term Loan---------------------------------------------------------------ICRA has assigned long term rating of '[ICRA]B' to the INR4.00crores fund based bank facilities of P.K. Industries. ICRA hasalso assigned short term rating of [ICRA]A4 to its INR6.00 croresnon fund based limits.

The assigned rating is constrained by high client concentrationrisk as the major customer, MPVVCL(Madhya Pradesh Vidyut VitranCompany Limited) contributes to more than 95% of the company'ssales. The rating also factors in the company's relatively smallscale of operations, highly competitive and fragmented industrywith strong competition from medium and large players inmanufacturing of transformers which in turn can put pressure onthe profitability margins. Further the rating is also constrainedby the stretched liquidity position of the company as reflected byhigh working capital utilisation in the past 8 months.

The rating however, favorably takes into account long standingexperience of the proprietor and the high demand potential of theindustry in the short to medium term.

Business was established in the year 2000 as a sole proprietorshipconcern and is engaged in manufacturing and selling of power anddistribution transformers from 5KVA to 5MVA capacity.Manufacturing plant of the company is located in the IndustrialArea in Govindpura, Bhopal, Madhya Pradesh.

Recent Results:P.K. Industries reported a net profit of INR0.49 crores on anoperating income of INR12.55 crores for the year ended March 31st,2013 and a net profit of INR0.30 crores on an operating income ofINR7.84 crores for the year ended March 31st, 2012.

PADMAVATI INFRA: ICRA Reaffirms B Rating on INR8.5cr Loan---------------------------------------------------------ICRA has reaffirmed its long term rating on the INR3 crore(enhanced from INR2 crore) fund based bank facilities and theINR8.5 crore (enhanced from INR6.9 crore) non fund-based bankfacilities of Padmavati Infrastructure Company (PIC) at [ICRA]B.ICRA has also assigned its ratings of [ICRA]B and [ICRA]A4 to theINR0.4 crore unallocated limits of PIC.

The rating reaffirmation takes into account the satisfactory paceof execution of orders from Paschimanchal Vidyut Vitran Nigam Ltd(PVVNL) and Uttarakhand Power Corporation Limited (UPCL), alongwith the firm's satisfactory order book position which givesrevenue visibility over the medium term, with pending order bookof ~INR62 crore as on November 2014. The ratings also reflect theadequate experience of PIC's partners in the power transmissionindustry and their established relationships with varioussuppliers. The ratings continues to favourably factor in thelimited price risk for the firm as PIC has already finalised theprices of all the major raw materials required to complete theorder.

The ratings are, however, constrained by PIC's modest scale ofoperations given its limited operational history, slow approvalprocess of the state power utilities and high geographicconcentration risks. Further, the ratings also take into accountthe high working capital intensity of PIC's operations owing tostretched receivables.

Going forward, the ability of the firm to scale up its operationswhile maintaining its profitability and manage its working capitalefficiently will be the key rating sensitivities.

PIC is a partnership firm formed in October, 2012 and is involvedin erection of poles and transformers along with setting upoverhead and underground cables for state power utilities of UttarPradesh (PVVNL) and Uttarakhand (UPCL). The partners have beeninvolved in the power industry as suppliers of transmissionequipment such as wires and cables for state power utilities. Atpresent, PIC is executing two orders from PVVNL for strengtheningand augmenting power distribution system in Bulandshahar andSambhal districts with a total pending order book of INR62 croreas on November 2014. In the past company has executed orders fromUPCL.

ICRA's rating factors in the company's moderate scale ofoperations, which coupled with its weak profitability and highdependence on external borrowings for working capital funding, hasresulted in weak debt protection indicators and high gearing of3.64 times as on March 31, 2014.

The rating also takes into account the company's operations in ahighly competitive industry and vulnerability of its profits tofluctuations in steel prices. The rating further takes intoaccount the exposure of the company's profitability tofluctuations in foreign exchange rates, given the lack of hedgingmechanism for import payables. However, ICRA favourably factors inthe rich experience of the promoters, strategic location of itsintegrated manufacturing facility and established relationshipswith key customers.

Going forward, PSL's ability to increase its scale of operationsaccompanied by an improvement in profitability margins andoptimally manage its working capital cycle leading to a prudentcapital structure, will be the key rating sensitivities.

PSL incorporated in 1981, manufactures steel ingots and rolls theminto hex bars and rounds. The manufacturing unit of the companylocated in Ludhiana, Punjab has a rolling unit and inductionfurnace with annual capacities of 19,000 metric tonnes each.

Recent ResultsThe company reported a net profit of INR0.19 crore on an operatingincome of INR59.74 crore in FY 14 as against a net profit ofINR0.35 crore on an operating income of INR58.64 crore in theprevious year.

The rating reaffirmation considers the growth in revenues andprofit margins in 2013-14, on the back of healthy demand forcotton yarn in domestic market, increase in realization andimprovement in power situation in the state, resulting in betterproductivity and cost savings. The rating also considers theexperience of the promoters in the textile business of over twodecades.

The rating is, however, constrained by the Company's small scaleof operations which restricts economies of scale, highly gearedcapital structure, exposure of its revenues and profitability tovolatility in cotton and yarn prices and its presence in themedium count segment in a highly fragmented spinning industry,where high competition coupled with low product differentiationlimits pricing flexibility. Going forward, the ability of theCompany to improve its scale of operations and profitability whilemaintaining/moderating its working capital intensity remain thekey rating sensitivities.

PSMPL, incorporated in 1989 by Mr. S. Perumal, is primarilyengaged in manufacture of cotton yarn. The Company produces mediumcounts of carded/combed yarn (in the count range of 40s to 60s)and supplies primarily to domestic garment manufacturers. TheCompany operates with an installed capacity of 14,112 spindles andits manufacturing facility is located in Salem (Tamil Nadu). TheCompany is closely held by Mr. P Ashokaraman (son of Mr. SPerumal) and his son.

Recent ResultsThe Company had reported net profit of Rs.0.2 crore on anoperating income of Rs.33.8 crore during 2013-14 as against netloss of Rs.0.3 crore on an operating income of Rs.28.2 croreduring 2012-13.

The reaffirmation of ratings take into consideration the weakfinancial profile of PTEL characterized by declining operatingmargin over the last two years, nominal profits and cash accrualsat an absolute level, depressed level of coverage indicators and ahighly adverse capital structure. The ratings also consider PTEL'ssmall scale of current operations, and its dependence on purchasedleaves as it has no gardens of its own, which exposes the companyto availability, quality and price risks of purchased greenleaves. The ratings also take into account the risks associatedwith tea being an agricultural commodity, which is dependent onagro-climatic conditions that leads to variability inprofitability and cash-flows of all players in the tea industryincluding PTEL. In addition, domestic tea prices to a large extentare influenced by international prices and hence the demand-supplysituation in the global tea market, in ICRA's opinion, wouldcontinue to impact the profitability of Indian players includingPTEL.

The ratings, however, factor in the experience of the managementin the tea business and the favourable outlook for the domestictea industry at least over the short to medium term. While ICRAnotes that the prices of tea have firmed up in the current year,primarily due to the shortfall in domestic production, the impactof the same on bulk tea producers, including PTEL, would bedetermined finally by the trade-off between the drop in productionand a likely increase in tea prices as a result of that.

Incorporated in 1995, PTEL has been engaged in the production ofblack tea of CTC variety. The company has no plantation facility;therefore it has to depend entirely on bought green leaves forproduction of black tea. The factory of the company is located atSiliguri, West Bengal. The annual installed capacity forproduction of black tea is 3.5 million kg. The company markets itstea under the brand name of 'Raajdhanee', 'Pioneer', 'Daffodil','Anubhuti', 'Remajuli' and 'Saffron Valley'.

Recent ResultsThe company has reported a net profit of INR0.02 crore on anoperating income of INR19.44 crore during 2013-14; as compared toa net profit of INR0.04 crore on an operating income of INR18.08crore during 2012-13.

The suspension of rating is on account of non-cooperation byPressco with CRISIL's efforts to undertake a review of the ratingsoutstanding. Despite repeated requests by CRISIL, Pressco is yetto provide adequate information to enable CRISIL to assessPressco's ability to service its debt. The suspension reflectsCRISIL's inability to maintain a valid rating in the absence ofadequate information. CRISIL considers information availabilityrisk as a key credit factor in its rating process and non-sharingof information as a first signal of possible credit distress, asoutlined in its criteria 'Information Availability Risk in CreditRatings'

Pressco was incorporated in 2002 by Mr. Srinath Dadich and hisfamily in Kolkata, West Bengal. The company manufactures tubelight fittings for Philips. Pressco has its main unit in JalanIndustrial Complex (Howrah, West Bengal) and three other ancillaryunits in Kolkata. The company also manufactures electricalcomponents for Bentec Electricals & Electrical Components Pvt Ltd.

The suspension of rating is on account of non-cooperation by PSAwith CRISIL's efforts to undertake a review of the ratingsoutstanding. Despite repeated requests by CRISIL, PSA is yet toprovide adequate information to enable CRISIL to assess PSA'sability to service its debt. The suspension reflects CRISIL'sinability to maintain a valid rating in the absence of adequateinformation. CRISIL considers information availability risk as akey credit factor in its rating process and non-sharing ofinformation as a first signal of possible credit distress, asoutlined in its criteria 'Information Availability Risk in CreditRatings'.

For arriving at the rating, CRISIL has combined the business andfinancial risk profiles of Shubhkamna Buildtech Pvt. Ltd (SBPL)and its subsidiaries PSA Impex Pvt. Ltd (PSA) and JSS. This isbecause all these entities, together referred to as ShubhkamnaGroup, are in the same line of business and share the samemanagement team. The analytical approach also factors in theholding company-subsidiary relationship between the entities, andthe presence of inter-company investments.

Shubhkamna Group was established in 2006 through the incorporationof SBPL by Mr. Diwakar Sharma. The group is primarily involved inresidential real estate development in Noida, Greater Noida, andalong the Yamuna Expressway (Uttar Pradesh). SBPL holds 50 percent stake in JSS and 70 per cent stake in PSA. The Company iscurrently undertaking projects with name Shubhkamna TecHomes,Shubhkamna City, Shubhkamna Legend and Shubhkamna Shikhar.

The ratings reflect the fact that RFTL is currently under thepurview of a corporate debt restructuring (CDR) programme and itspayments to banks have only recently been regularized. The ratingsalso take into account the adverse financial metrics of thecompany as reflected by its loss making nature of operations,highly aggressive capital structure and its stretched liquidityposition. Additionally, RTFL's non-integrated nature ofoperations, which exposes its margins and cashflows to variabilityin the ferro alloy and raw material prices, also adversely affectsthe ratings.

The ratings, however, also take note of the experience of thepromoters of the company in the steel and ferro alloys businesses,and the expected improvement in RTFL's cost structure which islikely to result from the investments made by the company incaptive power and sintering plants. ICRA notes that although thefavourable repayments in the near term, as per the CDR package, islikely to support the liquidity position of the company duringthis period, sizeable debt is required to be serviced over themedium term.

RFTL is promoted by the SKP group based out of Kolkata, WestBengal. It commenced its Ferro-alloy manufacturing facility atBishnupur Industrial complex of WBIDC in 2003, initially with twonumber 7.5 MVA furnaces. Over the years, the company hasestablished additional capacities of three numbers of 9 MVAfurnaces in the same complex. In FY 2008, RFTL expanded itsoperations into Odisha by setting up four 16.5 MVA furnaces inJajpur. Additionally, it commissioned six 9 MVA furnaces in Haldiain West Bengal, which is a 100% EOU for exporting Ferro Alloysfrom the country. The total manufacturing facility of the companyas on date is of 162 MVA.

Recent resultsRFTL registed a loss of INR228.6 crore on an operating income ofINR2486. crore in FY2014. During FY2013, the company hadregistered a PAT of INR28.9 crore on an operating income ofINR2260.3 crore. During April-September 2014, RFTL registered netloss of INR216.62 crore on an operating income of INR958.01 crore.

The re-affirmation of ratings take into account the company's weakfinancial profile characterised by a declining operating profitmargin and a leveraged capital structure, and a highly workingcapital intensive nature of operations, which adversely impactsits liquidity position; although, some improvement was witnessedduring the recent period.

The ratings also factor in the vulnerability of the company's cashflows and profitability to the inherent volatility in the rawmaterial and finished goods prices. RFIPL also remains exposed tothe risks arising out of fluctuations in the foreign exchange rateas a major portion of its revenue is generated from export sales;however, hedging strategy followed by the company mitigates suchrisks to an extent. The ratings, however, derives comfort from thelongstanding experience of the promoters in the trading andmanufacturing of steel castings, and the company's integratednature of operations with its group entities who act as exclusivesuppliers and job worker for RFIPL, thus strengthening itsoperating profile.

Incorporated in 1986, RFIPL is engaged in the trading andmanufacturing of grey iron (CI) and ductile iron (DI) castings.The company started commercial production of steel castings in2006-07 with a capacity of 6,720 tons per annum (TPA). Anadditional facility, equipped with sophisticated machineries, wascommissioned by the company in October 2011, with a capacity of11,520 TPA. The manufacturing facility of the company is locatedat Domjur in the Howrah district of West Bengal.

Recent ResultsDuring the first six months of 2014-15, the company reported a netprofit of INR0.47 crore on an operating income of INR63.87 crore.The company reported a net profit of INR1.50 crore on an operatingincome of INR112.04 crore in 2013-14.

The rating upgrade reflects CRISIL's belief that the KKR groupwill maintain its improved liquidity over the medium term, drivenby improvement in cash accruals and efficient working capitalmanagement. The group's cash accruals improved to INR80 million in2013-14 (refers to financial year, April 1 to March 31) from INR52million in 2012-13. Furthermore, the group has managed its workingcapital requirements efficiently, which has resulted in gradualreduction in its gross current assets to 112 days as on March 31,2014, from 163 days as on March 31, 2012. The KKR group isexpected to maintain its improved liquidity over the medium term,supported by healthy cash accruals and efficient working capitalmanagement.

The ratings reflect the KKR group's average financial risk profilemarked by high gearing, and the group's susceptibility to changesin government regulations and to volatility in raw materialprices. These rating weaknesses are partially offset by the KKRgroup's established brand and its promoter's extensive experiencein the rice-milling and food-products industry.

For arriving at the rating, CRISIL has combined the business andfinancial risk profiles of SN Rice Mills, Karthika Modern RiceMill, KKR Mills, KKR Flour Mills, KKR Food Products, KKR AgroMills Pvt Ltd , and KKR Products and Marketing Pvt Ltd. This isbecause all these entities, together referred to as the KKR group,are under a common management and have strong operational andfinancial linkages.Outlook: Stable

CRISIL believes that the KKR group will continue to benefit overthe medium term from its established position in the food-productsand rice-milling industry. The outlook may be revised to'Positive' if the group's financial risk profile, particularly itsgearing, improves, most likely because of sizeable cash accrualsand efficient working capital management. Conversely, the outlookmay be revised to 'Negative' if the group's liquidity weakensbecause of a decline in its revenue and profitability, or if itundertakes a sizeable debt-funded capital expenditure programme orhas large incremental working capital requirements.

Set up in 1976 by Mr. K K Karnan, the KKR group commencedoperations with a small rice-trading business in Okkal near Kochi.Over the years, the group has started milling and manufacturingvalue-added food products. The KKR group sells its products underthe Nirapara brand.

Set up in 1991, SN Rice Mills is engaged in the business of ricemilling.

SANJEEV KUMAR: ICRA Assigns B+ Rating to INR9.0cr Cash Credit-------------------------------------------------------------ICRA has assigned the long term rating of [ICRA]B+ to INR9.0 croreCash Credit facility of Sanjeev Kumar Goyal Contractors (SKGC).ICRA has also assigned the short term rating of [ICRA]A4 to INR3.0crore Non Fund Based Facility of SKGC.

The ratings are supported by long experience of promoters in thecivil construction business and their healthy client base giventhat SKGC caters primarily to government bodies. Further theratings favorably factor in the low geographical concentrationrisk with projects spread across various states like Punjab,Gujarat, Madhya Pradesh, Rajasthan and Gujarat.

However, the ratings are constrained by SKGC's modest scale ofoperations, limited revenue visibility with an Order book toOperating Income ratio of ~1.2 times and vulnerability to raw-material price volatility due to absence of provision of priceescalation in all its contracts. This apart, the ratings are alsoconstrained by SKGC's modest net-worth and high dependence onworking capital borrowings which has modest leverage (Gearing of1.93 times and Debt/OPBDITA of 4.37 times as on Mar 31st 2013).Furthermore the ratings also factor in risks associated with thepartnership constitution of the firm like limited ability to raisecapital, withdrawal of capital etc.

Going forward, the firm's ability to execute its current orderbook in a timely manner, procure additional orders as well asimprovement in its capital structure will be the key ratingsensitivity factors.

SANSKAR SYNTHETICS: ICRA Reaffirms B+ Rating on INR10.30cr Loan---------------------------------------------------------------ICRA has reaffirmed its long term rating of [ICRA]B+ on theINR10.30 crore fund based bank facilities of Sanskar SyntheticsPrivate Limited.

ICRA's rating continues to draw comfort from the extensive trackrecord of the promoters in the textile industry as well as thefavourable location of SSPL's weaving facilities, which provideseasy accessibility to raw materials and processing houses. Whilethe company enhanced its manufacturing capacity in FY2014, theenhanced capacities were however available only for part of theyear (for one month), consequent to which, the revenue andprofitability metrics of the company remained subdued in FY2014.The highly competitive nature of the weaving industry, limitedvalue additive nature of the work as well as continued highproportion of fabric trading activities, led to subduedprofitability levels. Further, given the working capital intensivenature of operations and marginal equity infusion by promoters,SSPL's reliance on debt remained high, which also resulted inmodest debt coverage indicators.

With commencement of production of the enhanced capacity, whilethe sale of manufactured products is expected to increase, theability of the company to improve profitability and optimise itsworking capital cycle will be a key determinant of its debtcoverage indicators and liquidity and hence would be the keyrating sensitivities going forward.

Based in Bhilwara, Rajasthan, SSPL manufactures processed finishedfabric for sale under its own brand, as well as for privatelabelling. SSPL is promoted by three brothers namely Mr. YogeshBiyani, Mr. Naresh Biyani, and Mr. Ashish Biyani, who have been inthis line of business for more than two decades. Prior to SSPL,the promoters were primarily engaged in trading of syntheticfabrics through a partnership firm.

Recent ResultsSSPL reported net profit of INR0.27 crore on an operating incomeof INR49.89 crore in 2013-14 as against a net profit of INR0.32crore on an operating income of INR45.25 crore in the previousyear.

The assigned rating takes into account the large on-going capitalexpenditure being undertaken by the trust for the proposed medicalcollege as well as hospital expansion and the associated fundingrisk, owing to the high reliance on induction of funds in thecorpus as well as generation of internal accruals over the nextthree years to part fund the capital expenditure. The rating alsofactors in the trust's exposure to regulatory risk owing topending approval from Medical Council of India (MCI) for thecommencement of the academic session of the proposed medicalcollege. Pending this approval, while the trust may not incurdebt-funded capital expenditure on the subsequent phases ofmedical college, however given the term borrowings outstanding forthe first phase of the project (Rs 30 crore out of total proposeddebt of INR95 crore), the trust is currently dependent on thefunding support from trustees for servicing of its debtobligations as the accruals from the recently commenced hospitaloperations are inadequate to meet the interest burden. Besidesdebt servicing, the trust is also dependant on promoter fundingsupport for funding of any capital expenditure.

The rating however derives strength from the experiencedmanagement of the trust who has been engaged in the educationsector for more than fifteen years.

In ICRA's view, commencement of the academic session for themedical college as well as achievement of optimum operatingmetrics post commencement of operations will remain keydeterminants for ensuring the adequacy of accruals for debtservicing in the long-term. Also given the high dependence oncorpus funding/internal accruals for balance phases of the projectcosts, timely infusion/generation of these funds will alsocontinue to be the key rating sensitivities.

Incorporated in 2006, SDC is a Charitable Trust and is beingmanaged by Mr. Vijay Gupta and his brothers. The trustees havebeen engaged in the education sector for more than 15 years andalso manage four other charitable trusts, which collectivelyoperate eight colleges and one hospital in the National Capitalregion (NCR).

SDC trust was earlier managing two institutes, SD Institute ofTechnology & Management (SDITM) and SD College of Management(SDCM) which offered courses in engineering (B.Tech) andmanagement (BBA and MBA) respectively. These colleges were basedout of a single campus of 28 acres in Panipat (Haryana) and wereaffiliated to Kurukshetra University. Owing to the weak responseto the courses, the trust discontinued the admissions in thesecourses from AY11-12 and the operations of the aforementionedcolleges from AY13-14.

Established in September 2011, SPPL has set up an HDPE and PPwoven sack manufacturing unit with an annual installed capacity of1800 tons. SPPL is being promoted by Mr. S R Biradar having vastexperience in polymer packaging industry. The manufacturingfacility is located at Chakan MIDC area in Pune, Maharashtra. Thecommercial operation of the company has started in July 2013. SPPLmanufactures HDPE and PP woven sacks utilized in variousindustries like cement, fertilizers, sugar and food grain.

SILVERLINE ELECTRICALS: CRISIL Ups Rating on INR30MM Loan to B+---------------------------------------------------------------CRISIL has upgraded its rating on the long-term bank facilities ofSilverline Electricals Pvt Ltd (SEPL) to 'CRISIL B+/Stable' from'CRISIL B/Stable', while reaffirming its rating on the company'sshort-term facilities at 'CRISIL A4'.

The rating upgrade reflects improvement in SEPL's business riskprofile, marked by healthy revenue growth and sustained margins.During 2013-14 (refers to financial year, April 1 to March 31),SEPL registered revenue of INR137 million (almost twice itsrevenue in previous year) with a sustained operating margin of 5per cent. Over the medium term, the company is expected tomaintain its healthy growth, with its revenue expected to rise toover INR300 million and sustained margins. While maintaininghealthy revenue growth, the company is expected to sustain itsworking capital cycle and continuously receive funding supportfrom its promoters. In 2012-13 and 2013-14, the promoters infusedINR13.5 million (in a mix of debt and equity) in SEPL to supportits increasing scale of operations.

The ratings reflect SEPL's working-capital-intensive and modestscale of operations, despite the revenue growth. The ratings alsofactor in the company's modest net worth and high total outsideliabilities to tangible net worth ratio. These rating weaknessesare partially offset by the extensive experience of SEPL'spromoters in the transformer industry and its moderate debtprotection metrics.

Outlook: Stable

CRISIL believes that SEPL's scale of operations will remainaverage over the medium term; though the company is expected toregister healthy revenue growth, the growth will be over a smallbase. The company's financial flexibility and ability to ramp upoperations will remain constrained over this period because of itssmall net worth. The outlook may be revised to 'Positive' if SEPLreports a significant and sustained improvement in its scale ofoperations, while it prudently manages its working capital, or ifthere is substantial infusion of funds by the promoters to improveits liquidity. Conversely, the outlook may be revised to'Negative' if the company's liquidity weakens further, most likelybecause of a stretched working capital cycle.

SEPL, based in Maharashtra, was incorporated in January 2012. Thecompany is promoted by Mr. Milind Mahajan, Mr. SantoshVishwakarma, and Mr. Sachin Hivarkar. SEPL had, in March 2012,taken over the assets of Haphen Transformers India Pvt Ltd forabout INR40 million. SEPL manufactures transformers, feederpillars, and distribution boxes. The company also undertakesservice activities, such as installing, commissioning, andmaintenance of these products. It manufactures transformers in therange of 25 kilovolt amperes (kVA) to 5000 kVA. The company has amanufacturing unit in Maharashtra with a capacity of manufacturing20,000 kVA of transformers per month.

The rating reaffirmation continue to takes into account SomnathCold Storage Pvt Ltd's (SCPL) adverse financial risk profile asreflected by high gearing, depressed coverage indicators and highworking capital intensity of operations; and the regulated natureof the industry, making it difficult to pass on increase inoperating costs in a timely manner, leading, in turn, to downwardpressures on profitability.

The ratings also take into account SCPL's exposure to agro-climatic risks, with its business performance being entirelydependent upon a single agro commodity, i.e. potato. Further, ICRAnotes that the loans extended to farmers by SCPL may lead todelinquency, if potato prices fall to a low level; athough withmajority of the potato during the current year being alreadywithdrawn by the farmers, the risk remains low during for thecurrent year. The rating also takes into account the long trackrecord of the promoters in the management of cold storages and thelocational advantage of SCPL by way of presence of its coldstorage units in West Bengal, a state with large potatoproduction.

Incorporated in 1984, SCPL is a cold storage set up in Burdwandistrict of West Bengal. SCPL is primarily engaged in the businessof storage and preservation of potatoes. Currently, SCPL has anannual storage capacity of 38,000 tonnes.

Recent ResultsIn FY14, SCPL reported a net profit of INR0.04 crore on anoperating income (OI) of INR4.71 crore as compared to a net profitof INR0.02 crore on an OI of INR3.71 crore in FY13.

SPICEJET LTD: Co-Founder Agrees to Take Control to Rescue Airline-----------------------------------------------------------------Tommy Wilkes and Aman Shah at Reuters report that the co-founderof low-cost airline SpiceJet Ltd has agreed to buy out itsbillionaire owner, the first part of a rescue attempt to turnround the loss-making carrier's fortunes in a fast-growing butcrowded aviation sector.

Ajay Singh, who helped found SpiceJet in 2005 and was expected tosubmit his plan by the end of the month, has agreed to takecontrol of the ownership and management from majority ownerKalanithi Maran's Sun Group, the airline said on Jan. 15, Reutersrelates.

SpiceJet has been struggling to pay its bills for months becauseof a cash crunch and looked on course to become the second Indiancarrier to collapse in as many years after it was forced to groundits fleet briefly last month, according to Reuters.

Together with at least one financial investor, Singh will investINR15 billion ($241 million) in the airline, a civil aviationministry official said, declining to be named, Reuters relates.The ministry will approve the bailout in the coming days, he said.

The deal involves a fresh equity injection that will diluteexisting shareholders, Singh told Reuters. He declined to commenton the financial details of the deal.

"Oil prices are low, we have a pro-growth government in India. Ifyou can deal with the past liabilities of SpiceJet and get thecosts low, I think it's a great time to be in aviation," thereport quotes Singh as saying. "Breaking even in the nextfinancial year is what we should be aiming for."

According to Reuters, analysts said Singh will need cash to paySpiceJet's immediate bills, and then to help cut costs that haveleft the carrier unprofitable since 2013.

"Survival for SpiceJet requires a lot of things to materialise,"Reuters quotes Harsh Vardhan of Starair Consulting as saying. "Itneeds a large chunk of cash flow, it needs operations streamlined.And a lot of it will depend on the competition."

Sun Group CFO SL Narayanan told two Indian TV channels thatMaran's company would remain a minority shareholder, adds Reuters.

About SpiceJet

SpiceJet Limited -- http://www.spicejet.com/-- is an India-based low-budget air carrier. The Company operates daily flightsbetween major cities in India. The carrier is India's second-biggest budget airline, after IndiGo.

As reported in the Troubled Company Reporter-Asia Pacific onMay 21, 2014, The Times of India said SpiceJet has posted itshighest ever annual loss of INR1,003.2 crore in the financial year2013-14 up five times from INR191 crore in the previous fiscal.

As reported in the TCR-AP on Nov. 17, 2014, The Times of Indiasaid auditors of financially struggling SpiceJet airlines havecast 'significant' doubts on the ailing company's future. Thelow-cost carrier incurred a loss of INR310 crore in the quarterended Sept. 30, 2014, down 45% from the loss of INR560 crore insame period last fiscal.

"As of that date (Sept. 30, 2014) the company's total liabilitiesexceed its total assets by INR1,459.7 crore. These conditions. . . indicate the existence of a material uncertainty that maycast significant doubt about the company's ability to continue asauditors point out that SpiceJet had made no provision forinterest of INR7.5 crore. "Had the same been accounted for, thenet loss for the quarter ended Sept.30, 2014, would have beenhigher by INR7.5 crore," the auditor said.

TERAI ISPAT: CRISIL Reaffirms B Rating on INR300MM Cash Credit--------------------------------------------------------------CRISIL's rating on the long-term bank facilities of Terai Ispat &Trading Pvt Ltd (TITL) continues to reflect its subdued financialrisk profile, marked by below-average debt protection metrics andlow profitability, and exposure to risks inherent to theagricultural commodities and steel trading segments. These ratingweaknesses are partially offset by the extensive entrepreneurialexperience of the promoters, financial support from companieswithin the Terai group, and established relationships withsuppliers and customers.

CRISIL believes that TITL will continue to benefit from theextensive experience of its promoters and unsecured loans from theTerai group. The outlook may be revised to 'Positive' if TITLimproves its profitability and debt protection metrics andmaintains steady revenue growth. The outlook may be revised to'Negative' in the event of a stretch in its working capital cycleor sizeable debt-funded capital expenditure (capex), therebyweakening its capital structure.

TITL, set up in 1991 by Mr. Ajit Kumar Agarwala, is a closely heldpublic limited company trading in various products, such as jute,sugar, green peas, yellow peas, and steel products. The companybegan operations in 1993 and is a part of the Kolkata-based Teraigroup, having primary interests in tea plantations.

VAJRAKALPA COTTON: ICRA Puts B+ Rating on INR20cr Fund Based Loan-----------------------------------------------------------------ICRA has assigned an [ICRA]B+ rating to INR20.00 Crore fund basedlimits of Vajrakalpa Cotton. The assigned rating is primarilyconstrained by the highly fragmented and competitive nature of theindustry which limits the ability of the firm to pass on the hikein input costs.

ICRA notes that the firm is exposed to the agro-climatic andregulatory risks which could affect the availability andprocurement price of raw cotton. The rating is further constrainedby the weak financial profile of the firm characterized by lowprofitability and high gearing resulting into weak coverageindicators as reflected in OPBITDA-to-Interest & Finance Chargesof 1.34x and NCA-to-Total Debt of 1.47% as on 31st March, 2014.The rating however, favourably factors in the long standingexperience of the promoters in the industry and the presence ofthe firm in the major cotton growing region of Telangana(Karimnagar Dist.) resulting in good availability of raw cotton.The rating also takes into account the healthy increase of 27% (y-o-y) in the operating income of the firm backed by increase in thesale of lint by 37% during the period.

Vajrakalpa Cotton is a partnership firm established in 1999 and isengaged in the ginning & pressing of raw cotton, oil extractionand trading of cotton lint & maize. The milling unit is located inJammikunta in Karimnagar District of Telangana with an installedcapacity of 40 gins, 16 presses & 6 oil extraction machines.

According to audited FY 2013-14 results, the firm has recorded anoperating income of INR155.02 crores with an operating profit ofINR2.05 crore.

The rating revision takes into consideration the exposure to theproject execution risks with limited progress in the constructionof the project since the last rating exercise, exposure to thefunding risk as the requisite debt for the project has not beensanctioned yet and exposure to market risk with sales at a nascentstage. The ability to ensure healthy sales velocity supported bystrong collection efficiency is critical given the highcontribution of customer advances, almost 54% of budgeted cost, infunding the project.

The assigned rating favorably factors in the attractive locationof the company's project by virtue of its proximity to the railwaystation and the Link Road in Charkop, Kandivali (W). The ratingalso factors in the long standing experience of the promoters inthe redevelopment and rehabilitation projects space in Mumbai.

Vijay Kamal Properties Pvt Ltd was incorporated on February 16,2000 with the main objective of undertaking real estatedevelopment in and around Mumbai. The company is a part of theMumbai-based Ravi Group which was founded by Mr. Tokarshi S. Shahover four decades ago. The promoter group specializes inrehabilitation and redevelopment projects. The group has completedover 40+ projects having total saleable area of 5.5 million sq.ft. in an around Mumbai. VKPPL is currently developing aredevelopment project -- The Era -- in Kandivali West suburb ofMumbai.

ICRA's rating is constrained by the highly competitive nature ofthe fabric processing industry owing to its fragmented nature andthe low value added nature of the firm's business; exposure torisks arising from fluctuations in prices of fabric; and themodest financial profile of the company characterized by lowprofitability and high working capital intensity. Further, theratings also factor in the risks inherent to its partnershipconstitution, in terms of risk of capital withdrawal, risk ofdissolution etc.

However, the ratings favourably take into account the establishedtrack record and extensive experience of the promoters in thetextile industry and the favourable location of the facility inBalotra, Rajasthan, which is a hub for processing of Poplin, Rubiaetc, thereby facilitating easy access to raw material and labour.

Going forward, the ability of the firm to improve theprofitability of its operations and prudently manage its workingcapital cycle will be the key rating sensitivities.

Vimalscop Product, is a partnership firm, set up by Mr. SubhashChand Mehta in 2013 and is engaged in fabric processing at itsunit in Balotra, Rajasthan. Mr.Mehta has been involved in thisline of business for more than two decades and prior to setting upthis firm, the partners were running their fabric dyeing businessunder another partnership firm which was dissolved before settingup Vimalscop Product. The firm has an installed capacity forprocessing around 8 million meters of fabric per month. Theproducts of the firm are marketed under the brand names 'Scop','Viva', 'Milly' and 'G-9'.

Recent ResultsThe firm reported a net profit of INR0.29 Crore on an operatingincome of INR55.58 Crore in the four months of its operations,from December 2013 to March 2014.

The CreditWatch positive placements reflect the tranches'synthetic rated overcollateralization (SROC) levels, whichexceeded 100% with a sufficient SROC cushion at higher ratingsthan the current ratings as of Dec. 31, 2014.

S&P intends to review these tranches by the end of this month.

STANDARD & POOR'S 17G-7 DISCLOSURE REPORT

SEC Rule 17g-7 requires an NRSRO, for any report accompanying acredit rating relating to an asset-backed security as defined inthe Rule, to include a description of the representations,warranties and enforcement mechanisms available to investors and adescription of how they differ from the representations,warranties and enforcement mechanisms in issuances of similarsecurities. The Rule applies to in-scope securities initiallyrated (including preliminary ratings) on or after Sept. 26, 2011.

If applicable, the Standard & Poor's 17g-7 Disclosure Reportsincluded in this credit rating report are available at:

MT. GOX: Ex-CEO Was Thought By U.S. to be Silk Road Mastermind--------------------------------------------------------------Bob Van Voris at Bloomberg News reports that the former head ofthe bankrupt Mt. Gox Co. bitcoin exchange was originally believedby U.S. investigators to be the secret mastermind behind the SilkRoad online drug marketplace, an agent who infiltrated the websitetold jurors at the trial of the man prosecutors now accuse ofrunning it.

Bloomberg relates that Jared Der-Yeghiayan, a Department ofHomeland Security special agent, testified on Jan. 15 that hebelieved in mid-2013 that Mark Karpeles, then Mt. Gox's chiefexecutive officer, was also head of Silk Road, where buyers usedbitcoins to purchase drugs and other illegal items anonymously.

Ross William Ulbricht, who was arrested in October 2013 andcharged with running Silk Road under the pseudonym "Dread PirateRoberts," is on trial in Manhattan federal court on charges ofconspiracy and Internet drug trafficking, Bloomberg says.

According to Bloomberg, Mr. Ulbricht claims he gave up control ofthe site within months of starting it. His lawyer, Joshua Dratel,questioned Mr. Der-Yeghiayan in an attempt to persuade jurors thatMr. Karpeles was behind Silk Road and set up Ulbricht to take theblame.

Bloomberg relates that Mr. Dratel asked the agent about statementshe drafted in May and August in 2013 to get a search warrant forMr. Karpeles' email.

"You were ready to swear that there was probable cause to believethat those Gmail accounts contained evidence of instrumentalitiesof narcotics trafficking and money laundering, right?" Dratelasked. "Correct," Der-Yeghiayan answered.

Bloomberg relates that Mr. Der-Yeghiayan said that at the time hebelieved Karpeles, whose company was the world's biggest exchangerof bitcoins, set up Silk Road to stimulate demand for the virtualcurrency and drive up its value. He said he concluded that Mr.Karpeles, who was born and educated in France, ran Silk Road whilea Canadian associate named Ashley Barr was the online voice of thesite, Bloomberg relays.

"I am not and have never been 'Dread Pirate Roberts,' "Mr. Karpeles, who lives in Japan, said on Jan. 15 in an email toBloomberg. "The investigation reached that conclusion already --this is why I am not the one sitting during the Silk Road trial,and I can only feel defense attorney Joshua Dratel (is) tryingeverything he can to point the attention away from his client. Ihave nothing to do with Silk Road and do not condone what has beenhappening there."

Der-Yeghiayan, who was investigating from Chicago, testified thatin May 2013, Homeland Security in Baltimore seized more than $3million from the account of a Karpeles company, Mutum Sigillum,Bloomberg says.

In July 2013, representatives of the Baltimore office met with Mr.Karpeles' lawyers and were told he was willing to tell thegovernment who ran Silk Road, Bloomberg recalls. Outside thejury's presence, Mr. Dratel told U.S. District Judge KatherineForrest, who's overseeing the trial, that Mr. Karpeles was seekingto avoid a criminal charge by pointing the finger atMr. Ulbricht.

Judge Forrest dismissed the jury of six men and six women early sothat she could consider arguments from both sides over whatadditional evidence they may hear about the government'sinvestigation of Mr. Karpeles, according to Bloomberg.Der-Yeghiayan will continue his testimony when the trial resumesJan. 20, the report notes.

Mr. Ulbricht faces as long as life in prison if convicted. Thetrial started on Jan. 13 and may last as long as six weeks,Bloomberg notes.

About Mt. Gox

Bitcoin exchange MtGox Co., Ltd., filed a petition under Chapter15 of the U.S. Bankruptcy Code on March 9, 2014, days after thecompany sought bankruptcy protection in Japan. The bankruptcy inJapan came after the bitcoin exchange lost 850,000 bitcoins valuedat about $475 million "disappeared."

The Japanese bitcoin exchange halted trading in February 2014. Itfiled for bankruptcy protection in the U.S. to prevent customersfrom targeting the cash it holds in U.S. bank accounts.

The company said it has estimated assets of $10 million to$50 million and debts of $50 million to $100 million.

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BRIDGECORP LTD: Former Finance Director Denied Parole Again-----------------------------------------------------------Nick Grant at NBR Online reports that Robert Roest, a formerfinance director of failed company Bridgecorp, has been deniedparole for a second time.

NBR says Mr. Roest was convicted of making of false statements inprospectuses issued by Bridgecorp, which collapsed in 2007 owingNZ$459 million to over 14,000 investors. He was sentenced toprison for six years and nine months in May 2012, and receivedextra three months after pleading guilty to charges relating tothe purchase of a luxury yacht with company funds.

According to the report, the Parole Board said Mr. Roest has a"rather intransigent attitude" to his offending and still seeshimself as a victim of circumstance who was trying to do his bestfor investors.

Despite this, the board said any remaining concerns about the riskhe poses on release could be mitigated by conditions that preventhim doing similar work or holding a position where he deals withother people's money, NBR relates.

NBR says Mr. Roest's application for parole was denied, however,because there was no properly supported release plan -- an issuethat could be addressed the next time he appeared before theBoard.

Mr. Roest first appeared before the Board in August last year,when it was noted he "appeared to lack significant degree ofempathy for the victims of his offending other than acknowledgingtheir losses," NBR adds.

Based in New Zealand, Bridgecorp Ltd. was a property developmentand finance company. The company was placed in receivership onJuly 2, 2007, after failing to pay principal due to debentureholders. John Waller and Colin McCloy, partners atPricewaterhouseCoopers, were appointed as receivers. Bridgecorpowes around 14,500 investors, which liquidators estimate toapproximate NZ$500 million. Bridgecorp's nine Australiancompanies were also placed into voluntary administration, owingabout 100 investors about AUD24 million (NZ$27 million).

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TAIWAN HIGH: Rail Bureau Prepares for Government Takeover---------------------------------------------------------Shelley Shan at Taipei Times reports that the Bureau of High SpeedRail said that it is forming a task force to prepare for agovernment takeover of the high-speed rail system as soon asTaiwan High Speed Rail Corp (THSRC) declares bankruptcy.

Taipei Times says the rail company could go bankrupt in March orApril when a lawsuit filed by Continental Engineering Corp toredeem its preferred stocks, worth NT$3.5 billion (US$109.2million), is scheduled to be handed down, with the result likelyto favor the plaintiff.

The company would have no option but to file bankruptcy, as it hasonly NT$1.8 billion in cash and would be unable to pay thestockholder, according to Taipei Times.

The report says the Ministry of Transportation and Communicationshad hoped to prevent the bankruptcy by proposing a plan torestructure THSRC's finances. However, the plan failed to securebipartisan support from the legislature's Transportation Committeeon Jan. 7, which ruled to hold off on a review, the report notes.

If the court rules that THSRC must pay Continental Engineering inthe third trial in March and the railway operator goes bankrupt,the bureau said that it would constitute a major breach of thecompany's build-operate-transfer contract with the government.THSRC would be given 80 days to address the situation, accordingto the report.

Taipei Times relates that should the company fail to address thesituation within the 80 days, the bureau said that it would revokethe company's qualification to operate the high-speed rail systemand take charge itself, which could happen in about June.

The report adds that the bureau said that members of the taskforce would not just be doing consulting work, but would take overevery aspect of the operation, including maintenance, finances anddaily operations.

The ministry would also appoint a new chairperson to serve on therailway operator's board, the bureau added, Taipei Times reports.

Meanwhile, Taipei Times reports that the Taiwan High-Speed RailWorkers' Union said that current and future employers shouldnegotiate with the workers' union.

"The company is facing a turning point," the union said in astatement. "By law, the union has an obligation andresponsibility to negotiate with the employer," the union said.

"Should there be any change in the company's operation, such as amerger or separation of entities, or a transfer of ownership, theemployer should ensure that the employees' work conditions andbenefits remained unchanged," the union added.

The employer cannot make any change to working conditions withoutthe union's consent, it said.

As of June last year, THSRC had assets valued at NT$501 billionand liabilities of NT$452.8 billion. It had accumulatedoperational losses of NT$47 billion, the report discloses.

It is also obligated to pay dividends worth NT$48.2 billion toshareholders.

To buy back the preferred shares issued during the construction ofthe rail system, the company needs to raise about NT$53.3 billion,the report adds.

About THSRC

Taiwan High Speed Rail Corporation is principally engaged in theconstruction, development and operation of the high-speed railwaysystem in Taiwan. The Company is also involved in other high-speed railway transportation-related businesses and thedevelopment and usage of train station sites. The Company's high-speed railway transportation-related businesses include shoppingmalls, special stores located in travel agencies, car leasing andparking lots, among others. The Company developed train stationsites for hotel, restaurant, entertainment, department store,financial service, tourism service, communication service andother uses.

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Tuesday's edition of the TCR-AP delivers a list of indicativeprices for bond issues that reportedly trade well below par.Prices are obtained by TCR-AP editors from a variety of outsidesources during the prior week we think are reliable. Thosesources may not, however, be complete or accurate. The TuesdayBond Pricing table is compiled on the Friday prior topublication. Prices reported are not intended to reflect actualtrades. Prices for actual trades are probably different. Ourobjective is to share information, not make markets in publiclytraded securities. Nothing in the TCR-AP constitutes an offeror solicitation to buy or sell any security of any kind. It islikely that some entity affiliated with a TCR-AP editor holdssome position in the issuers' public debt and equity securitiesabout which we report.

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